Sharp Corporation stopped negotiating with Samsung to expand their business partnership related to copy machines.
Sources say that the Japanese electronics company will not pursue negotiations with Samsung Electronics due to growing concerns over possible technology leakage to Samsung by Japanese companies, including Canon, which have patents for the use of the company name necessary for the production of photocopiers.
Japanese copy machine makers occupy a large market share globally. Canon, Ricoh, Konica Minolta, and Sharp account for 80% of the global market for A3-sized digital copiers, together with US-based Xerox. In particular, Sharp ranks fifth in shipments.
However, the fifth largest manufacturer of copy machines will continue negotiations for white goods in order to produce proprietary products for the Korean electronics company.
At first, Samsung sounded out Sharp's interest in its takeover of the copier business, but Sharp declined. After the incident, both sides tried to find ways to establish a company that sells copiers as a joint venture.